Donate SIGN UP

Restrictive employment contract

Avatar Image
frazerd | 08:25 Fri 23rd Oct 2009 | Civil
4 Answers
I work for a small local insurance broker. We have just been presented with new contracts which include a 12 month restriction on working for a competitor within 30 miles of the business if we leave the company. We were reduced to a 4 day week a few months ago, so nervous staff are considering looking elswhere because of worries about redundancies.
I feel this is an unreasonable restriction and am not happy to sign and return my contract but want to present my case for not signing. Would I be within my legal rights to refuse to accept this condition? And do you feel this restriction is considered a 'reasonable' one?
Gravatar

Answers

1 to 4 of 4rss feed

Avatar Image
This seems relevant:
http://www.emplaw.co....%20a%20general%20note

Chris
21:52 Fri 23rd Oct 2009
if you are just a normal employee my view is that is is unreasonable to add this to existing contract terms

four day week?
varied contracts?

my advice is dont sign

.......and get another job
An employer would find it very hard to make a 30 mile clause stick at a tribunal, especially in such hard employment times. the employer cannot have it all his/her own way , you are already on a 4 day week .what if this is reduced further , can you be dead sure it won't be-- of course not.Are you in a union , if so check the legitimacy of this clause , if not ring ACAS. I would begin looking actively for a new job, stall signing anything, and do not discuss with your fellow workers what you are up to. If forced to sign , cross out that clause and claim temporary insanity.(joking), ask for another contract and begin stalling again.You never know they may forget you haven't done it.good luck.
Large companies sometimes try to impose certain restrictive clauses on very senior employees who may have had detailed exposure to strategic company plans and intellectual information that might be useful a competitor but in the situation you describe it seems that the onlyintellectual information you have might be a list of your employer's customers, which they are worried about being poached if an employee leaves and moves to another insurance broker. However, I think in the current employment environment a tribunal would rule that this was an unreasonable change of contractual conditions and I don't think you should sign the contract, especially as your hours of work have already ben reduced. Just procrastinate and if pressed, tell them you feel that in the circumstances you want to seek legal advice before signing. That may at least cause them to reduce the pressure on you to sign. As suggested ring ACAS for some advice. I believe they also have a good website offering advice. Can't remember what it is but if you Google ACAS advice I'm sure you'll be able to find it.

1 to 4 of 4rss feed

Do you know the answer?

Restrictive employment contract

Answer Question >>